Gambling.com Group full-year revenue jumps 51% but net profit plunges
Nasdaq-listed affiliate reports NDCs rise by 13% while increased monetisation sees CPA commission double
Gambling.com Group has announced a 51% year-on-year (YoY) increase in full-year revenue to $42.3m thanks in part to a 13% in new depositing customers (NDCs).
Adjusted EBITDA was up 26% from $14.6m to $18.4m, the affiliate giant revealed, although net profits tumbled almost 57% to $7.6m
The group pointed to the increase in NDCs as well as the ability to increase monetisation of these as key factors to the increase in revenue. There was a 13% increase in NDCs from 104,000 in 2020 to 117,000 last year.
Gambling.com co-founder CEO Charles Gillespie said: “Through a mix of increased exposure in North America and successful investments in data science, we substantially increased our revenue per NDC during the year.”
CPA commission generated $18.6m compared to $9m in 2020, while revenue share commission was up 9% from $3.3m to $3.6m.
The UK and Ireland accounted for 50% of the group’s revenue, although as the affiliate continues to globalise, that share is down from 70% in 2019.
In turn, significant growth was seen in North American where revenue climbed 89% to $7.5m from $4m in 2020. North American revenue accounted for 18% of turnover in 2021.
In terms of verticals, casino led the way, generating $35.6m of revenue, with sports betting achieving $6.2m.
Gillespie said: “We grew our revenue in 2021 by 51% compared to the prior year, delivered an EBITDA margin of 43% and generated over $8m of free cash flow as many other industry players struggled to find a path to sustainable profitability.
“As we look towards 2022, we are encouraged by the strongest start to a year we have seen in our 15-year history.
“Helped by launches in New York and Louisiana, January was our best-single month performance ever – even before consolidating financial results from our recent acquisitions.
Just in January, we have seen the total addressable market in North America expand by leaps and bounds and there is a clear path to additional state launches this year, along with the impending launch of Ontario next month.”
In February, Gambling.com acquired affiliate BonusFinder in a deal that could reach €60m, as well DFS resource RotoWire in December in a deal worth $27.5m.
Following the earnings announcement, the company’s shares closed the day relatively flat at just shy of $9.